If you want to import products or services to your own country that follows vat or value added tax system then being aware of europa vat can save money for your business. You will be able to accurately calculate the buying price of your imported products whilst have the ability to charge the appropriate vat rate when you sell them in local markets.
Most countries within the EU have shifted to vat which helps achieve uniformity in cross-country imports and exports. It’s also allowed businesses to go in for vat refunds on imports where vat was already paid in the original country of export. If you too intend to import goods where vat has already been paid then you definitely too can make an application for vat reclaim in the country of origin with supporting documents that show the local sales together with the vat rates.
However, before you begin issuing vat invoices to your clients, you will need to apply for vat registration in your own country. For instance, in the United Kingdom you can get vat registered when your taxable sale in the last 12 months touches £70,000, which is known as www.vatverification.com the vat threshold. You will have to contact the hmrc vat department and may even use their vat online services to fill up the vat form to get vat registration. Once your business has the necessary registration then you can charge vat rates as prescribed by the department through a vat invoice that mentions your unique vat number.
You may import goods and services from several europa vat countries including Sweden, UK, France, Germany, Greece, Spain, Italy, Poland, and many more. Although customs duties, excise duties and import vat might differ in each eu country, the essential principle of taxes continues to be same. All vat friendly countries have a very standard vat rate which is between 15-25%, a particular low vat rate between 1-6% and vat exempt items or services where no vat is charged. The rates might differ and so might the text in each vat invoice however the formula for calculating vat continues to be same in all these countries.
Since customs, excise and vat rules can be a bit complicated to decipher, you should enroll the services of an expert vat and import agent so your goods and services are put in the appropriate classification as deemed fit by relevant tax authorities. Your agent must also have the ability to help you in filing regular vat returns and getting vat refunds in the country of origin in order to return the doubly-charged tax amount back to your coffers.
In case you want to handle other business in other europa countries that follow vat then you can also cross-check the validity of the vat numbers by using the internet. There are many websites that permit you to input the country code and the vat number before informing you if the vat number is still valid. This move can save you a lot of hassle and funds whilst keeping you safe from unscrupulous businesses and folks.
Conducting business with vat friendly eu countries will ensure that your paperwork proceeds in a seamless manner thanks to the common platform of vat. If you plan to start an enterprise in a EU country which has embraced vat then you should first check the europa vat list before you begin importing services or products from such countries.